Bond Issue

20 January 2023

Grafenia plc

("Grafenia", the "Company" or the "Group")

Bond Issue

Grafenia plc (AIM: GRA) is pleased to announce that the Company has issued further bonds (the "Bonds") via the perpetual bond facility put in place in July 2020. The Company has issued £3.0 million of the Bonds, at nominal value, to investors, raising approximately £2.55 million before expenses. The key terms of the Bonds that have been issued are:

● amount issued - £3.0 million;

● issued at 85% of their nominal value;

● no interest until July 2023;

● thereafter, interest of 6% per annum payable annually in arrears;

● trade date of 20 January 2023 and settlement date of 24 January 2023;

● redeemable by the Company on 19 July 2023 or any anniversary thereafter;

● admitted to trading in the Open Market on the Frankfurt Stock Exchange with ISIN DE000A28ZF69 and stock exchange abbreviation PF5A;

● non-convertible;

● unsecured - to rank pari passu with any past and future bonds.

The Bond was arranged by the Company's Settlement and Paying Agent Quirin Privatbank AG ("Quirin").

The net proceeds of the Bonds issued will be used to support the Company's acquisition strategy.

Gavin Cockerill, Acting CEO of Grafenia commented "We continue to make progress with our strategy to become a serial acquirer and permanent home for vertical market software businesses. Our third acquisition of the Financial Year was completed earlier this week. The funds being raised will be applied to further potential acquisitions we have in the pipeline."

For further information:

Grafenia plc

Gavin Cockerill (Acting CEO) 07968 510 662

Allenby Capital Limited (Nominated Adviser and broker) 0203 328 5656

David Hart / Piers Shimwell